Mgmt 383 Chapter 5 Managing Equal Employment and Diversity Fall 2008 Diversity • • • • • Race/ethnicity Age Gender Physical disabilities Sexual orientation The Diversity/EEO Paradox • Diversity – recognizing differences. • EEO – ignoring differences based on race, color, religion, sex, national origin, age, and disability. Affirmative Action • Recruitment of underrepresented/ underutilized groups. • Changing management attitudes. • Removing discriminatory obstacles (employment practices creating disparate impact). • Preferential treatment. Developing An Affirmative Action Plan • Three general components under Revised Order No.4: • (1) Utilization Analysis • (2) Goals and Timetable • (3) An Action Plan Source: 41 C.F.R. Part 60-2 Affirmative Action • Conditions that must be met in order to be permissible under Title VII. Steelworkers v. Weber, 443 U.S. 193, 208 (1979): • Must be justified (remedial). • Cannot create an absolute bar. • Cannot unnecessarily trammel the rights of members of nonfavored groups. • Must be temporary in nature. Affirmative Action • Failure to meet the standards provided in Steelworkers v. Weber will result in reverse discrimination. • Hiring an unqualified individual simply because he or she is a member of an underutilized group will establish “reverse discrimination.” Affirmative Action • Grutter v. Bollinger, the Supreme Court has declared that “diversity” can serve as a justification in college admissions. • Only deals with state, local, and federal government programs. • Note: the applicant must still be minimally qualified. • This justification has not been applied to employment and contract award situations (yet). Requirements for Immigrants & Foreign-Born Workers • Visas & Work Permits • Insure that the worker has authorization to work in the US: • H-1B for professional employees (good for 6 years). • L-1 for intra company transfers. • SSAN and employee name mismatches • • • • • Unreported name change. Marital status change. Stolen identity. Clerical error. Fraud (likely an illegal alien). National Origin & English-Only Rules • English-Only work rules • Must be justified. • Cannot create a universal prohibition. • Must describe consequences for noncompliance • Must be communicated to all employees. Source: Garcia v. Spun Steak, 13 F.3d 296 (9th Cir. 1993) Racial/Ethnic Harassment • Note that in our discussion of sexual harassment, what applies to sex may be applied to race, religion, and national origin. Categories of Sex Discrimination • • • • • • Disparate Treatment Disparate Impact Sexual Harassment Sex-Plus Pregnancy Pay Differentials What is Sexual Harassment? Any unwelcome sexual advances, requests for sexual favors, or other verbal or physical conduct of a sexual nature constitutes harassment when: Submission to such requests is made explicitlyor implicitly a condition of one's employment (i.e., hiring,firing, raises, promotions, etc.). What is Sexual Harassment? • Submission to such conduct is used as the basis for employment decisions. • Such behavior has the purpose or effect of "unreasonably" interfering with an individual's performance on the job or creating an intimidating, hostile, or offensive work environment. Common Examples of. Sexual Harassment. Unwanted physical contact, including touching, pinching, brushing the body, coerced sexual intercourse, or assault. Verbal sexual innuendoes, graphic comments about an individual's body, jokes of a sexual nature, suggestive comments, sexual propositions, or threats. Displays in the workplace of sexually suggestive objects or pictures Proofs for Quid Pro Quo Sexual Harassment 1. The complaining party is a member of a protected class. 2. The conduct of a sexual nature was unwelcomed. The complaining party did not encourage it by word or deed. 3. But for the complaining party's sex, she would not have been subjected to the unwelcomed conduct. Proofs for Quid Pro Quo Sexual Harassment 4. The complaining party's acceptance or rejection of the unwelcomed conduct would affect tangible job benefits. 5. Respondeat superior. When the employer is liable for the actions of its agents Since tangible job benefits are involved, only management personnel can perpetrate quid pro quo sexual harassment. Respondeat Superior • Literally, “let the master answer.” • The employer is responsible for the wrongful acts of its servants or agents. Proofs for Hostile Environment 1. The complaining party is a member of a protected class. 2. The conduct of a sexual nature was unwelcomed. The complaining party did not encourage it by word or deed. 3. But for the complaining party's sex, he or she would not have been subjected to the unwelcomed conduct. Proofs for Hostile Environment 4. The unwelcomed conduct was so severe or pervasive as to alter the employee’s conditions of employment by creating an intimidating and adverse work environment. 5. Respondeat superior. The perpetrator of hostile environment sexual harassment may be anyone: managers, coworkers, vendors, clients, customers, etc. It is Not a Civility Code • “The prohibition of harassment on the basis of sex requires neither asexuality nor androgyny in the workplace; it forbids only behavior so objectively offensive as to alter the ‘conditions’ of the victim's employment. Conduct that is not severe or pervasive enough to create an objectively hostile or abusive work environment -- an environment that a reasonable person would find hostile or abusive -- is beyond Title VII's purview.” Harris v. Forklift Systems, Inc., 510 U.S. 17, 21, citing Meritor Savings Bank, FSB v. Vinson, 477 U.S. 57, 67. Recent Developments • Faragher v. City of Boca Raton and Burlington Industries v. Ellerth decided on June 26, 1998, created new federal guidelines for determining employer liability in sexual harassment complaints. • Oncale v. Sundowner Offshore Services, Inc. decided on March 4, 1998, held that same-sex sexual harassment is actionable under Title VII. Employer Liability for Coworkers • Direct Liability for sexual harassment initiated by coworkers, vendors, clients, customers. • The employer is liable when: The employer knew, or should have known (constructive knowledge), that the sexual harassment was occurring and failed to take immediate and appropriate corrective action. Sources: Katz v. Dole, 709 F.2d 251; Barrett v. Omaha Nat’l Bank, 726 F.2d 424. Employer Liability for Supervisors • Vicarious (Indirect, Strict) Liability for sexual harassment committed by supervisory personnel. • The employer is liable for the actions of its agents regardless of whether or not the employer knew or should have known, of its agent’s sexual harassment, even after taking prompt corrective action. • Sources: Miller v. Bank of America, 600 F.2d 211 (9th Cir. 1979). Employer Liability Quid Pro Quo By Supervisor Vicarious (Strict) Liability ( No Affirmative Defense) Hostile Environment Vicarious (Strict) Liability (Affirmative Defense) By Coworkers, Customers, Vendors Not Applicable Direct Liability The Faragher/Ellerth Affirmative Defense • Faragher & Ellerth permit an employer to avoid vicarious liability provided they can demonstrate a two-part affirmative defense: • (1) The employer exercised reasonable care to prevent & promptly correct any sexually harassing behavior, and • (2) the complaining party unreasonably failed to take advantage of any preventative or corrective opportunities provided by the employer or to other wise avoid harm. Reasonable Care • Anti-Harassment Policy is now a necessary, though not sufficient, part of any affirmative defense. • Not only must there be a written policy, it must be: • Disseminated • Consistently enforced • Train supervisory personnel. “Unreasonably Failed” • The second part of the defense is that employers must also show that the CP unreasonably failed to avail herself of the organization’s protective policy & procedures. • Show the policy was disseminated. • Show the policy had been enforced. • Show the CP was aware of the policy (documentation). What is a Manager's Responsibility? Understand. Know your company's policies on sexual harassment, and its complaint and investigation procedures. Observe. 1. Be aware of what goes on around you. 2. Be conscious of how your subordinates interact. 3. Watch for more subtle forms of sexual harassment and how they may negatively affect the work and self-esteem of some of your subordinates. What is a Manager's Responsibility? Model. 1. Set the example of the behavior you expect from your subordinates. 2. Let your subordinates know that you will take action if a case of sexual harassment comes to your attention. 3. Demonstrate your willingness to discuss the issue. Investigate. Take all allegations seriously and begin the formal investigation process upon notification. Company incentives to investigate It violates federal civil rights laws. Size of Employer’s Work Force 15-200 201-300 301-500 >500 Maximum Combined Punitive and Compensatory Damages $50,000 $100,000 $200,000 $300,000 Failure to do so may diminish the firm's reputation. Sex Discrimination Terms • Nontraditional Job - historically male jobs (construction, factory, mining etc.) • Glass Ceiling - discriminatory practices that prevent women from advancing to executive-level jobs. • Glass Walls - practices that preclude women from certain executive-level jobs (i.e., key line positions). • Glass Elevator – synonymous with glass walls. Developments in Age Discrimination • Age Discrimination in Employment Act of 1967 (ADEA) • Even if you replace one >40 employee with another >40 employee you can still violate the ADEA if the replacement was based upon age. • An older >40 employee was replaced by a substantially younger >40 employee. O’Connor v. Consolidated Coin Caterers, 519 U.S. 1040 (1996). Developments in Age Discrimination • Age Discrimination in Employment Act of 1967 (ADEA) • General Dynamics Land Systems v. Cline, 540 U.S. 581 (2004), the U.S. Supreme Court held that the ADEA only prohibits age-based discrimination against relatively older individuals. Religious Discrimination • Religious BFOQ (§702) • [Title VII]...shall not apply ... to a religious corporation, association, educational institution, or society with respect to the employment of individuals of a particular religion to perform work connected with the carrying on by such corporation, association, educational institution, or society of its activities." Source: 42 U.S.C. section 2000e-1(a). Religious Accommodation • Religious Accommodation - In his or her rebuttal, the employer must show that the obligation to "reasonably" accommodate the employee’s religious beliefs and practices was met, or that the accommodation would impose an undue hardship on the employer. • By showing that the employee’s desired accommodation would impose an undue hardship, the accommodation becomes "unreasonable". Source: Chalmer v. Tulon Company of Richmond, 101 F.3d 1012, 1019 (4th Cir. 1996). Religious Accommodation • Prima facie case of religious discrimination based on accommodation by demonstrating that: (1) the individual has a bona fide belief that compliance with an employment requirement would be contrary to his religious beliefs or practice, (2) the individual informed the employer of the conflict, and (3) the individual was disciplined or discharged for failing to comply with the conflicting employment requirement. Source: Wilson v. U.S. West Communications, 58 F.3d 1337, 1340 (8th Cir. 1995). Traditional Training Approaches to Diversity • Legal awareness – legal implications of discrimination. • Cultural awareness – attempts to deal with stereotypes through discussion and exercises. • Sensitivity training – sensitizes people to the differences among them and how their words and behaviors are perceived by others. Diversity-Demographic Trends • The “white” population declined from 76% in 1990 to 69% in 2003. • Hispanics became the largest ethnic minority according to the 2000 census. • Their growth rate was 58% for 1990 to 2003 compared to 13% for the total US population. • There is a greater need for bilingual supervisors/managers. Diversity-Demographic Trends • Workforce will become older (Mean age: 77., men 74.0, women, 80.7) • The 16 to 24 year-old group will decrease (fertility rate is 2.08). • More phased retirement. • A range of industries will experience shortages of qualified workers. • More disabled employee participation. Effects of Increased Female Participation • More flexible work schedules. • More shared work. • More part-time work. • Greater variety of benefits to attract women. • Child care. • Maternity leave. • More job placement for spouses. • More sex discrimination litigation. Effects of Ethnic Minority Participation on HRM • More training in English as a second language. • Greater demand for multilingual employees (especially supervisors). • More cultural awareness and diversity training. • Increased ethnic tensions in the work place, including minority v. minority conflict. • More discrimination litigation. Effects of Ethnic Minority Participation on HRM • Requisite skill shortages. • Only 33% of immigrants have a high school education. • 800,000 to 900,000 legal immigrants arrive annually. • Low skills from Mexico, Sudan, and the Balkans. • Inpatriates in technical skill becoming common (primarily India and Asia) Effects of Ethnic Minority Participation on HRM • Ethnic minorities with college degrees are often over-represented in low demand areas and underrepresented in high demand areas (from a business perspective): • Ethnic minority degrees are over concentrated in: • Social work • Liberal arts • Ethnic studies Mixed Reviews on Diversity Training’s Effectiveness • Draws attention to differences and builds walls rather than breaking them down. • Is viewed as being “politically correct” by focusing on blaming the majority group for past wrongs that are no longer relevant.